Alex White (Dublin South, Labour)

I welcome the opportunity to contribute to this debate. Although other speakers have described the Bill as primarily a technical proposal, it nevertheless opens up an opportunity for discussion on this important area not only of economic activity but also of artistic endeavour. The Minister's speech made clear his commitment to continue to foster this important sector for our communities and society in general, to say nothing of the business and economic aspect.

One cannot overstate the vital importance of the audiovisual sector to our country. Several colleagues mentioned that it employs upward of 6,000 people. That level of success is essentially a direct consequence of State support. There is much debate at present on the role of the State and whether it should be involved in fostering commercial activity of one type or another. Some are of the political view that the State should stay out of all of these areas, including the economy. The film and audiovisual industry is a living example of the achievements that can arise from prudent investment through different instruments, whether tax relief, direct funding, attracting outside funding and so on. Much has been achieved in the three decades since the Irish Film Board was set up in 1981.

Several colleagues referred to the towering work of the President, Michael D. Higgins, as Minister with responsibility for this area in the 1990s. It is no harm to acknowledge that others have also made an important contribution, perhaps in different circumstances and in a different context. For example, the former Taoiseach, Charles Haughey, did much to advance our thinking in regard to arts and film. It was under his Government that the film board was established. There are not many opportunities for us to note the positive achievements of some of our predecessors in the Chamber, but that was an important one.

The 1990s saw a veritable flowering of activity in the creative industries, as they are sometimes broadly described. For instance, there was the re-establishment of the film board following its disbandment. More importantly, we saw other agencies, such as RTE, placing the arts at the centre of much of their activity. That decade saw the introduction of the requirement that a certain amount of RTE's funding be set aside to finance independent productions. That was a progressive move. We had the expansion of the tax incentive scheme in 1993 and there was also an EU involvement in the form of the media programme. On top of that we had the establishment of TG4. These were all important elements in the flowering of creativity which took place in the 1990s. The business and employment consequences of that were enormous.

We must take every opportunity we can to encourage Irish talent to make Irish films for an Irish audience. That is what we have sought to do, with considerable success over the years, through the film board. It is vital for the State to extend this type of support wherever we can and in whatever format we can. However, we must also bear in mind that the audiovisual sector is not confined to film. The media world is a noisy and crowded one, encompassing radio, television, mobile media, online content and so on. Not only do we have a proliferation of new products, we also have a proliferation of new formats and new types of media. Sometimes it is difficult to keep up with developments.

The audiovisual sector comprises, among other activities, writing, commercials, corporate video production and audio production. In regard to the latter, there was a time when there was very little independent radio production, but activity in that area has increased substantially in recent years. Digital content production companies have also expanded hugely in recent years. We must be careful not to limit our horizons when considering the audiovisual sector and the types of supports we can potentially make available to it. I have heard colleagues refer to the digital gaming sector, which is perhaps slightly beyond the remit of what is covered in this Bill. However, it is an area of great expansion where people can translate their creative talent into successful businesses which create badly needed jobs.

I hope the recommendations in the Creative Capital report encompass and comprehend all of these new areas of activity. Much has changed since the establishment of the film board, when the audiovisual sector would have been confined almost entirely to film. I support the progressive recommendations of the Creative Capital report, in particular the recommendation that the board's mandate be extended to incorporate a role as specialist development agency for the industry. A recommendation that is particularly dear to my heart is that the board have a responsibility for training and talent development. That is hugely important in this sector. The Minister observed in his speech that something like 70% of the costs of each production go on labour. It is a very labour intensive industry.

If we are to facilitate excellence in the sector, it is vital that we promote training and education in order to encourage young people who have a talent and interest in the area and who wish to improve their expertise and skills. Colleagues referred to Ballyfermot College, which is offering incredibly progressive opportunities for young people to foster their talent. We must work to promote and foster excellence and to provide the opportunity as best we can to encourage and develop talent. Artistic talent is something which inheres in an individual in the first instance, where there is a talent to paint a picture, make a film or write an article or book. The responsibility on Government and society is to do everything we can to foster that inherent ability.

Needless to say, any effort to encourage artistic endeavour will cost money. There was some criticism in this regard; it may have been from Deputy Finian McGrath - one must pay some attention to him every now and then. To criticise the capital programme in regard to the Minister's Department is unfair. If one considers the cuts that have had to be made across the board, the Department has done relatively well in the current context. I am sure the Minister will fight as hard as he can for all of the heads of budget over which he presides. That criticism was unfair when one considers the broader threats facing funding for all Government activities.

The section 481 tax relief scheme is up for review in 2015. I am in favour of its retention but, in common with all other tax expenditures, it must be carefully scrutinised. While the Commission on Taxation supported the continuation of the relief, it pointed out that the Indecon report in 2007 was somewhat sceptical about the overall achievement of the tax reliefs. I do not have time to go into that, but it is a cause for concern. There was considerably less evidence for the success of the tax relief than I expected when I looked at the commission report. On balance we are in a competitive world and need to promote the Irish audiovisual industry. The report of the Commission on Taxation stated: "At the same time, however, we are aware of the competitive international environment which exists in the film industry. Ireland competes with other countries and locations for productions. These include Australia, New Zealand, the UK, Canada, New York, Fiji and Hungary. We also acknowledge the role which the sector plays in supporting a significant number of jobs in the economy. We consider that film relief should be continued." I am delighted with that conclusion, which is correct. However, it will need to be scrutinised just as we need to scrutinise all the other reliefs. I congratulate the Minister on this legislation and wish him well with it.

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